Fair Work Agency
Contents
A new regulator of employment rights
The Fair Work Agency will be created to enforce employment law compliance, taking over from other government agencies (such as HMRC, the Employment Agency Standards Inspectorate, the Gangmasters and Labour Abuse Authority and the Director of Labour Market Enforcement).
This includes dealing with National Minimum Wage, Statutory Sick Pay, holiday pay, modern slavery, employment agency rules and Employment Tribunal penalties.
The Agency will have the following powers:
- To require individuals to attend meetings, answer questions and provide information or documents.
- Allow enforcement officers to enter premises to inspect documents or access computers or other equipment.
- Invite individuals to give a 'labour market enforcement undertaking' if it's believed that an offence has been, or is being, committed. A court can also make a labour market enforcement order.
- Issue a notice of underpayment requiring an employer that has underpaid an individual to make payment within 28 days.
- Start Employment Tribunal claims in place of a worker (who is not going to make a claim).
- Give assistance to a person who is, or may become, party to a civil court claim about employment or trade union law, or other labour relations laws.
- To make new regulations requiring a person to pay a charge for the enforcement costs incurred.
The following new offences will also be created:
- Failing to comply with a labour market enforcement order.
- Providing false information or documents.
- Obstructing the exercise of an enforcement function.
Directors and officers of a company will also have personal liability if the company's offence was committed with their consent or support or due to their neglect. There will also be similar rules for partners in firms.
However, there's not yet any indication of when these enforcement powers will be in force.